starts. >> right. i've got a giant melissa here. look at this. "closing bell" starts right now. hi, and welcome to "the closing bell. i'm kelly evans. >> i'm bill griffeth. so it's later than it's ever been. this is the last day of the quarter, and it's been a rough one for the equity markets, we know. although we are rallying today, just off the highs of the session. we're going to see how this final hour finishes up. we'll tell you how to get positioned for the final quarter of 2015. >> also, just breaking about an

hour ago, our partners saying jack dorsey will be named permanent twitter ceo as early as tomorrow, finally. >> what took so long? >> the man who helped to break that story, coming up. >> also, two years behind schedule, but elon musk has finally unveiled tesla's model x, that gorgeous crossover suv that came out last night at the factory in fremont, california. but the original car guy himself says he is bearish on the electric auto maker. bob will join us coming up. >> i don't think it looks like an suv. >> well, it's more like a crossover. but it is in the category of suvs. >> looks like an overgrown sedan to me. more on that coming up. >> let's start with bob pisani. he's got a closer look at today's gains and the damage done. >> a lot of damage done. the only thing people are talking about, the main thing is what is going to happen with health care. that's where everybody's been

blind sided the last two weeks. we got a nice bounce today in the big name. i'm talking pharma. big names. hmos. hospitals. it's about time. you saw the damage in the last week and a half in these sectors. put up pharma in q3. look at the declines that we've seen here so far. and the hospitals and the hmo business is humana and aetna. also down double digits here. you want to know what the market leadership is? come here. i'll show you. it's this. it's clorox. the whole month has gone defensive in the last month. anything like that is all on the upside. it's very hard to move the market forward when you've got those kind of defensive names.

again today, clorox is doing very, very well. we need more market leadership. we need health care to stabilize. i know the phrase, everybody knows october is the month of bottoms. but we need to get clarification on where health care is going, because that's where a large part of the earnings gain is. it's in financials, consumer discretionary and health care. that's a very thin market to argue that we should be higher at the end of the year than lower. >> bob, thank you. meantime, a real disappointment. let's get up to seema modi with a look at how global markets have been faring. >> let's start with emerging markets seeing a lot of red arrows. brazil down 16%. india off six. broadly speaking, the worst quarter for emerging markets since q3 of 2011 on concerns over lower commodity prices,

global growth worries and the looming fed rate hike. and this bled through to the currency market. that's what traders have been talk about. trading at its lowest level since 1998. now, a negative quarter for europe as well, the european stocks 600, and index of the large cap names in europe, losing 9%. the german dax, by the way, the worst performing european market in the third quarter and it's still in bear market territory. china worries at play here. the auto sector continues to get hit. plus, soft economic data. largely due to the drop in oil price. but it's the first dip below zero since the ecb fired up its bond-buying program in march. some economists say there's a good chance mario draghi will now extend qe beyond september of 2016, which could ultimately be bullish for european equities because it would mean a weaker euro would be attached to that. >> well, the game continues.

seema, thank you for now. seema mody. >> let's go to our closing bell exchange as we try to make sense of the third quarter, which is ending in about 45 minutes for the markets. keith fitzgerald from moneymorning.com joins us. keith bliss is with us here at the new york stock exchange. and rick santelli is with us in chicago. we were just handed the stats for the quarter so far. the dow down 7.9% for the quarter. nasdaq down 7.9%. keith fitzgerald, what does it all mean? i mean, this is the third consecutive down quarter for the dow. third consecutive for the -- the second consecutive down quarter for the s&p. and the nasdaq finally is having its first down quarter in quite a while. so put this in prif for us. what happened this quarter? >> well, for a long time, the meme was what's good is bad and what's bad is good.

i think that bloom is now off the rose. traders are beginning to recognize that hey, we do have a serious problem here and bad may actually be bad. so i think you're taking money off the table. they're simply pulling back a little bit. they're waiting to see what the central banks, and yes, here we go again, what their next move is going to be in the face of data that really is pretty terrible on the surface. >> it's a fundamental problem, rick. internal or external? is this stuff that's happening to the u.s. economy slowing down, or is it external concerns that are just now kind of sinking in? >> it's definitely global. it's global. and i think -- i just heard -- it was one of our correspondents talking about exports. the journal had a great line today. it said first reversal in exports since the credit crisis. meaning we go in the wrong direction. i think all of it is a global standpoint, and that's why i think it's so important to really put in perspective, is the united states going to be a leader or are they going to be a follower with regard to things

like monetary policy? listen, the imf and europe, if we wait until they get their structural reforms complete, or we wait until the emerging markets get all their ducks in a row, it's going to take forever. you could make an argument they haven't had their ducks in a row for decades, so yes, it's a global dynamic, and i think that the united states' central bank needs to look at the positives of our economy, such as they are, to the rest of the world and make decisions based on that activity. so in that regard, maybe janet yellen's speech is important. what everybody's talking about down here today, is and melissa lee brought it up in realtime, apple dipping below that level, which is where they settled last year. ten-year note yields were at 235, so we shed about 25 basis points. >> this is what carl icahn earlier in saying the market was overvalued, he said am, which is still undervalued, today is completely the opposite trade. >> how much of this selling -- i

mean, we can come up with all kinds of reasons for the market to sell off. how much of it is a good old fashioned technical selling? we had gone how many years without a 10% correction? we finally have one now. and are we just paying the price for this party we've had for the previous six years here? >> well, i absolutely agree with that, and i think we're going to have more selling to come. i would be fading any rallies i would get here. some of the technical destruction has been pretty profound. all four major indexes did a death cross with the last one being the nasdaq, which completed a couple of days ago. so those are very bearish technical signals. one of the indexes you didn't mention at the top was the russell 2,000. since the russell 2000 hit its high, it's off 15% now. if it were to get into 20% territory, that would take it behind the 2009 trade line. i'm pretty sure, that would take the rest of them down below and then we would go back and really retest those lows that we saw in

october. i'm very bearish about this market right here. >> you're scaring me, keith. but i do remember you were pretty ahead of the game when you said you thought oil was going to crack. is this in part related to that move? and it's interesting, oil here today still under a little bit of pressure, but the market still lev tating. >> it's clearly been signaling that we have weakness. if you look at the equity prices -- prex, we've been talking about glencore a lot. not too recently, it actually ticked below the low that it got during the financial crisis, so we have weakness across there. the emerging market is in trouble for a variety of reasons. number one is the dollar rally. this is going to have a spillover effect across the equities. longer term, i still think we can trade higher.

since 1979, there's been 13 occurrences when you've gotten the four horsemen of the apocalypse coming at the same time. three to four months later, the market has traded higher. we're going to get those lows in october and then we'll see where we can go based upon monetary policy and other economic data. but the market must trade higher, because the free money days are over. >> keith fitzgerald, are you seeing any opportunities here? >> well, i think the energy complex, which has been beaten up so badly, is of extreme interest to me right now, as are defense contractors, which are another area under pressure, thanks to a shutdown and all kinds of other things. if you're a long-term investor, if you believe in growth like i do, then you want to wade in when everybody else is heading for the exits. you do that with solid companies and balance sheets that bankers cannot screw up. >> are you referring to the energy? should we say the commodity space, keith? when we have a name like free port down 50% on the quarter, joy global down 60% on the quarter, do they have the cash

flows and balance sheets to support the argument you're making? >> you know, i think that free port may. i should clarify that. pipelines are the most interesting to me right now because there's a lot of consolidation. regardless of what happens with the price itself, you've got to move that. >> everyone's been saying that. >> everybody's said that. it's a well-known trade. but that doesn't change the fact that it's a good one. >> is it, though? are pipelines doing that well? >> well, regardless, again -- >> when middle east stops due to warfare, because markets with lower oil prices don't reflect the political turmoil, we're basically energy self-sufficient. >> thank you, rick. >> we could sell to the whole world. you're darn right pipelines and oil are important. someone needs to think about what's going on in the middle east and why the markets haven't moved and why our foreign policy doesn't necessarily include them anymore. i think it's simple. we don't need their oil anymore! >> we're a producing nation now, so we want lower prices.

but wait, we're a consuming nation. i mean, we want higher prices as a producing nation. but wait, we're a consuming nation. we want lower prices. we can't decide what we are right now. thanks, guys, appreciate it very much. see you later. let's get into this story that broke about an hour ago. twitter popping on that record that jack dorsey will after all be named its permanent ceo. josh lipton stepping in with reaction so far. josh? >> that report coming to us from kara swisher, who says jack dorsey could be named the permanent ceo as early as tomorrow. dorsey would also apparently continue to run square, as the payments company where he's also ceo. square did recently file for an ipo. this started this summer, when dick costello stepped down. the stock popping on this news, but it has been under real

pressure year to date, down nearly 30%. down about 50% in the past 12 months, so why dorsey being given the job? swisher says it's because the company needs someone with real product chops. that's why dorsey was brought back. already on twitter, plenty of reaction and speculation. we've seen people wondering whether this news positions twitter to be awared. others saying they've been committing capital to this company in the hopes that they get this kind of headline. you can expect a lot more tweets to follow. we will keep you posted. back to you guys. >> he thinks it's better to be acquired. thank you. our josh lipton. more of that story to come. markets here have the dow up 182 points, as we look to close out what's been kind of an ugly quarter. the s&p up 1.5%. the nasdaq up 1.9 just about today. coming up, former general motors vice chair bob lutz gives

us his take on tesla and a potential uaw strike that could stop one of america's best-selling vehicles from being produced. coming up. first, though, the contrarian view on china's economy. things respect that bad, according to the ceo. he'll be here to make his case. we're back in two.

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customers feel like friends, neighbors and it makes it a little bit more special. together, we're building a better california. this final trading day of the third quarter sees the dow up 170 points. the nasdaq is up the most, so volatility up 1.8% right now. >> a lot of interesting trades today seem to counteract the kind of activity we've seen in the quarter to date. so just something to keep in mind as we head into the close. china's economy is slowing down. it's rattling markets worldwide and some are even calling for a global recession. china is not as bad as some think. >> joining us to talk about that, the chief executive officer of reorient group limited. the way that the chinese market

acted for a while there, looked like they were in freefall economically speaking, but you don't think so? >> no, i actually think that the government's doing a lot of things right now that are going to be seen as positives. the pboc is starting to come into their own, and you look at the mess that the fed and the pboc has put them behind, the market stabilizing here and i think it looks to make a big move off this bottom. >> so you're talking about monetary policy. that's your argument here. so this isn't about china slowing, which it obviously is but you're saying their version of the fed is beginning to be more accommodative to that? >> they definitely will be. the other thing is you've had this easing on the monetary side. on the exchange rate side, they've been actually pegging to the dollar, which has been obviously rallying. so they're sucking all the money out that the monetary easing has put into the system. it's not an advisable strategy and it needs to stop. i think that's what's really the

play here. once they figure that out, the market will move. >> so what kind of growth rate do you put on the chinese economy right now, especially when you consider the impact that it's having, the slowdown and demand for oil, the commodities, it's having this worldwide impact on all of that. >> i think the market is less focused on whether it's seven or six and a half. once the market understands that the bottom's been put in and you get a 6%-plus growth, i think people have been very happy. >> how will we know? >> i mean, there's two camps on that. i'm a believer in the numbers. they have some sophisticated statistics they put out. >> you believe the gdp number? >> i do, yes. >> i think you're the only person in the world who believes that gdp number. >> we found him. >> i think there's something else at play here that the world is not really understanding. the shanghai composite is really

an old world china indicator. whereas the new is not listed in china. it's listed here, the internet side. >> a lot of those names aren't doing well, by the way. look at alibaba year to date. >> actually, if the fed kind of clears the way, the pboc gives some sort of indication as to what they're actually targeting -- >> but every market response, going back to the summer, has been disappointment. how are they going to get in front of this? >> they've definitely been behind it. there's no doubt. i think they need to cut it 100 basis points and give some calming words to the market that this isn't an overreaction, that this is the plan going forward, that things are stable. they need to sense that everything is okay, that this isn't some knee jerk reaction. the market is looking for indicators, which they're not putting out. >> it doesn't exactly inspire confidence when the government is imposing these restrictions.

allowing the markets to trade to do the price discovery. >> without a doubt. these are growing things. it's just over ten years old. the pboc is not in as deep of a history as say the fed or any of the other regulatory agencies. so i think there's growing pains right now. >> how much are you betting on this outcome that you've described? >> how much money? >> she asked you first. >> well, i think the market by year end is up 30%. i think you get a sizable rally. i think it's sustainable. i think the government is pushing money behind technology and growth and they've got a big dollar reserve. i think we look higher. >> we've got three months. we'll see how it goes. 30 minutes left in the trading session.

the dow is up 134 points right now. jack dorsey reportedly will be named twitter's permanent ceo. we'll have more details as the stocks up nearly 4% coming up. we'll find out why bob lutz is so bearish on tesla. despite the reveal of the tesla model x last night. coming up. opportunities aren't always obvious. sometimes they just drop in. cme group can help you navigate risks and capture opportunities. we enable you to reach global markets and drive forward with broader possibilities. cme group: how the world advances.

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an up day on wall street. the dow, the s&p, and the nasdaq have lost almost 8%. but not today. the industrial average up 1.1%, 1.5% gain for the s&p. meanwhile, tesla is unveiling its new model x. did that last night in fremont, california, with a new feature. falcon wing like doors, which ceo elon musk demonstrated. >> we're going to open the doors. come on. come on. open. >> those rising doors are supposedly designed for tight spaces like a parking lot, as you can see there. they did receive a lot of cheers from the crowd. but will they generate cash? >> he thinks of everything, doesn't he? >> for his take, bob lutz,

welcome back. >> welcome back, bob. >> good to be here. >> so you've not been the biggest fan of all these electric cars. what do you think of the model x now that we're seeing it? >> first of all, let me say i am a fan of electric cars. the problem with them is they have a hard time making money because of the cost of the battery and there are other limitations. first of all, i like elon musk. i think he's a terrific guy. i'm sure the car is nice. but in the world of automobiles, this isn't a big event. they've just announced $130,000 vehicle with some trick doors and some other trick features like a biofilter for the air. everybody has microfilters in the air-conditioning system that filter out pollen and bacteria and everything. >> but bob, it's not called the bioweapon defense mode. >> yeah, i know. it's good marketing. a lot of the stuff is terrific. first of all, he's delivered i

think five or six cars. regular production is months away because as always, with doors like that, which every automobile manufacturer has investigated, there are enormous structural and body fit and water leakage problems that have to be solved in production. now, you can always build five or six to be able to say that you launched it and that's what he's done. but the fundamental problem that i have with tesla, and which wall street doesn't seem to have, is that the company is hemorrhaging money. their whole cost versus revenue base is out of line. they have a variable loss per car. they have no dealer network. they've got their own factory stores, which means it's their own capital, their own inventory. they have no real proper way to merchandise used cars. and i think that this isn't going to change that. it's a company that has extreme

difficulty making money. their only real source of revenue is selling vehicles. and this sport utility is not going to be totally additional to the model s. a lot of people say it's going to buy a model s. i think i'll get this sport utility instead. i think they'll be lucky to do 15 or 20,000 of these a year. well, 15,000 is like up with day's production for gm or ford. i mean, what's everybody so excited about? >> he's got you all worked up on this. he said that any car that's made today could be made as an electric car. but they're not. why not, bob? is it because technology is cost effective enough that we could have more cars on the road? >> the technology is not cost effective and i defy him to show

me one manufacturer that makes money as opposed to losing it. they're also called compliance cars. vehicles that the industry has to produce in order to make the fuel economy regulations. and then the other thing is all of these performance numbers, 150-mile-an-hour top speed, 5,000 pounds towing capacity, zero to 60 in 3.2 seconds, 250-mile range. if you have a gasoline car, you get all of those. if you have an electric vehicle, you have to pick. >> do you think, bob, that people have been suggesting, this hit to volkswagen and the diesel model, do you think that's going to end up pushing more people to embrace electric cars -- >> no. >> as long as the electric car is on the market, they don't want a gasoline car, or they're in europe, they're going to go electric. >> no, they're not. not immediately. they'll default to gasoline cars and there's technology on the

horizon. that i know for a fact is going to improve gasoline engines by as much as 30% on fuel economy, at which point diesels will have lost a lot of their reason for being. but until electric cars become cost effective, and that's -- and get the range plus the performance, most people are just not going to want it. and in the segment where you introduced elon musk, you said the electric car giant. they're not an electric car giant. >> they are in terms of market cap, though. >> that's my point. >> investors like what they see. they continue to like the story. they continue to like the cars for now. but we take your points, bob. thank you. bob lutz. electric cars are still all over the roads. i know we've said this before. in norway. it's amazing what government subsidies and hiydropower can d.

time now for a cnbc news update. let's get to sue herera. >> he's passionate, isn't he, guys? ash carter says today's russian air strikes in tar did not appear to target isis forces. there is a major u.s. concern about russia's intentions in that region. secretary carter also warned russia should not support syrian president bashar al assad. hurricane with a keen joaqu him at the bahamas. it is expected to strengthen before making landfall tonight. flavored tobacco products such as e-cigarettes are proving to be a hit with teens. according to a new study by the cdc, 70% of high schoolers who regularly use tobacco have tried flavor products. experts are blaming the trend on the spike in teen e-cigarette use. and good grief! the u.s. postal service is releasing charlie brown christmas forever stamps ahead of this year's holiday season. the collection will be dedicated

tomorrow at the charles schultz museum in santa rosa, california. wait a second. is that charlie brown, or is that bill? >> good for my pal charlie. >> i'm not kidding. i've already preordered these. i just happened to be ordering stamps a couple of days ago and they had done the peanuts characters. >> preordering model xs. they're preordering iechiphones. and kelly evans is preordering the christmas stamps. >> i'm not far behind her. >> sue herera. 30 minutes to go, a little bit less. the dow is up 200. the s&p 31. the nasdaq 90. oil has turned ever so slightly positive. >> what an interesting quarter this has been. and we're closing it out. can't wait to see what happens in the third quarter. when we come back, a leading trader will tell us what he's watching in this final and most important half-hour. not only of the day, but of the quarter as well. >> main street investors are going to tell us what they're

buying and selling in our retail investor round table coming up.

welcome back. we've got a news alert.

>> really excited that we're announcing today the criteria for our debate. the fact that i'm going to be very fortunate to moderate along with becky quick and carl quintanilla. i know you and others will be involved in the pregame show. what we're trying to do is figure out the smartest way to present a debate that explains the american economy to people and gives them a sense of the choices that these republican candidates offer them. the debate's going to take place on october 28th in boulder, colorado. it will take place in two parts. there will be an initial session involving people who average at least 1% in a series of network national polls. some of which haven't been taken yet. and on the main stage for the second part of the debate, beginning at 8:00, will be the candidates who average at least 3% in those polls. as i said, some of them have not been taken yet. so i would do the math for you and tell you who's going to be there, but we don't know yet. it depends on who reaches the

criteria. if you're 2.5% or above, you may get rounded up to 3% and be on the stage. >> john, we were waiting for these details. so there will be two debates again. do you know offhand roughly how many people would fall in that kind of under 2.5% in the national polls that we're talking about here at this point? >> i don't, actually. and the merit of our approach is we're not dictating an arbitrary number of candidates. we're setting some what we consider reasonable criteria for who ought to be on the stage. they will see who meets it. it's going to be an average of polls by major numbers, abc, nbc, cbs. >> fox. cnn, and bloomberg. >> bloomberg, cnn. those will be the criteria. and it will be for the polls that are taking place since the last debate that was on cnn and up until a week before our debate. so the road is in front of us in terms of figuring out who meets that criteria.

and i think it will be appropriate, because it will put onstage the people who have some level of viability in the race. >> yeah, maybe i'm biassed, but i'm excited to hear much more on these topics. i feel like haven't gotten enough air so far here. not even a lot of real talk about entitlement reform to this point. john harwood, thank you for now. john harwood with the details there on the october 28th cnbc republican debate. bill? >> can't wait. it's going to be great. let's look at the last half-hour of trading here, as we head toward the close of not only this day, but of the quarter itself. joining me, gordon of rosen blatt securities. >> a powerful day. scott vincent once told me every dinner is a feast and every feast is a banquet. not only have we advanced 8 to 1, it's the last day of the month, last day of the quarter, but also, more importantly for the viewers, we're seeing a lot

of green, a lot of names. so this is a powerful move and it will continue. >> do you think it sets the stage for more rallies going into the fourth quarter? >> it's certainly an encouraging sign. at this point, what happens next? there's a low. we've had fed speak. and we've got earnings. we'll see what the first week brings. i would anticipate a little bit of a reduction in volume. the vix settled in, too. >> do you think that the stock market wants a rate increase now? it's been down so much since the fed's last meeting when they didn't raise rates. does that mean that the stock market wants a rate increase? >> it seems the market is uncomfortable with the uncertainty. the inevitability of a rate increase seems to be something that everybody's waiting on. so let's be done with it already, and i think everybody would be better off once that happens. >> agreed. thanks, gordon. see you later. kelly? it's a segment we love. let's check in on how main street has handled all the volatility we've seen this

quarter. it's time for our monthly retail investor round table. kaley rejoins us along with dan pinkus. what names do you like and how are you playing these markets? >> right. i believe the markets are downright now and i believe they probably will be either at a steady pace or slightly down again until the end of october. i do believe we'll have one of those christmas rallies by the end of the year and i think that will be a more positive mode once we get through that timeframe. >> do you play through etfs or otherwise the major averages, or do you buy and hold individual names? >> i buy for the long-term, so i'd rather buy a company based on management, based on profitability. i know in the long-term, they'll be making money for us. >> and examples would be? >> i like apple quite a bit. i think it's one of my favorite stocks. i think intel is a tremendous

company. i think they have a lot of upside from here. i think that beyond technology, i think that the -- all the resources like gas and all the things which have been beaten down tremendously, i think they're going to see a very big bounce. it will be soon after. >> kaley, we welcome you back. i'm sorry i missed your last appearance last month. but i read here that you overall are bearish on this market. but you're still buying stocks. so kwsquare that for me. >> we're still actually relatively bullish. we're still buying stocks. we're not looking to make short-term plays off of downturns in the market or anything like that. but we do have a positive long-term outlook. so one of the names that people are looking at right now is wal-mart. they've been beaten down about 30% from their 52-week high in january following an announcement that they were increasing wages.

so this is going to hurt their margins in 2016. however, a lot of their competitors have also made similar announcements that they are going to be increasing wages as well. so eventually, they're going to pass the price of this back on to the consumer, and we think that their margins will improve, especially as employee turnover decreases. and they're able to lessen the amount of money they're having to spend on training costs. >> so you don't have very high expectations for the fourth quarter in terms of returns in the stock market. is that because we're expecting the federal fund starting to raise rates? >> we would like them to, as retail investors. we didn't expect them to in september, but as a retail investor, it's hard to see a loot of this volatility in the market especially because we are value investors. so a lot of this seems to us to be unwarranted. so once we hear what the fed is actually going to be doing, we get sort of a clear image of the

pace at which they'll be raising rates. it's going to enable us to make smarter plays. so we would like to see them do so. realistically, not sure that they will until 2016, especially after seeing all the volatility worldwide. but it is hard as a value investor to make plays in a market like this. >> would you echo that? or do you see more opportunity? >> i believe there's a long-term opportunity. in the short-term, it's very hard to say what's going to happen. of course the international scene plays a big role in what's happening here in america. but the reality of it all is that right now, we're very healthy, and our personal stock market, i think that the price/earnings ratios are not astronomical at all. >> you don't believe carl icahn when he says this market is overvalued? >> i believe the market is fairly valued and i believe it could go down a little more, but i do not believe it is overvalued at this time. >> guys, thank you both. >> thank you, kayly, and dan pinkus, the founder of something

called the world golf network. thanks for joining us today. >> a little more than 15 minutes to go into the close today. the dow continues to move higher, it's up 220 points now. the nasdaq up 95. that's more than 2%. >> twitter reportedly has finally found its man. we probably could have guessed this one. the new ceo is the old ceo. julia boorstin with the latest when we come back.

welcome back. a nice rally to end what's been a not so nice quarter, putting maybe a little bit better sheen on it, but still not interfering with the fact that the dow is going to close three consecutive quarters. we're up 236 points with 13 minutes to go. >> twitter co-founder jack dorsey will return now as the full-time ceo. julia boorstin, it says you've been working the phones for more on this story. i bet you've been texting as well, haven't you? >> texting and direct messaging, since we're talking about twitter. twitter could announce as early as tomorrow that jack dorsey is its new permanent ceo. my source has been telling me for months that dorsey is the lead contender.

insider say he has the best product experience and vision, which is, of course, key to turning the company around and revving up user growth. dorsey also runs square, which started the confidential process of filing for an ipo. twitter's board said it was only interested in candidates who were in a position to make a full-time commitment to twitter, which seemed to rule out dorsey, because he has made it clear he is committed also to square. but with twitter stock hitting an all-time low in august, the pressure to name a ceo who could implement major product changes asap seems to be more important than having a ceo who isn't also running another company. run question is whether adam bane gets an elevated title. chief operating officer is likely. we can also expect some changes on the board. at very least, dick costolo is expected to leave, if not now, then soon. early investor chris sacka has been advocating for dorsey to take the permanent ceo title for months.

he just tweeted this, his reaction. i'm told there are 40 million twitter shares short right now, most in the company's history. let's see how that works out for them. certainly a hot topic to watch. we'll be very curious to see what happens tomorrow. >> sure. it's popping to the point today to the point that chris sacca is making. julia boorstin, as twitter was up about 4% at last look. maybe up about five now if i'm reading that right. >> well, let me tell you. i made him repeat it. get this. $3 billion, with a b, to buy going into the close. very, very heavy buying going into this close right now. as we head to the top of the hour. >> people will wonder if they're coming in to buy the dip here as we head into a new quarter. >> so if your stomach turns every time the market makes a negative move, it may be time to head for cash, according to peterson anderson. he'll tell us what he's doing in

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seven and a half minutes left in this trading day and for the quarter. peter anderson joins us. what do you make of this rally? >> well, it's nice to see this

at the end, but this quarter has just been kind of a throwaway quarter. so even though we are seeing some buying at the end, it's just not enough to prop up optimism. it's nice that this quarter is ending, but remember, clients are going to be opening up their statements in about a couple of weeks, so we're going to have to revisit this quarter again. it's going to still be painful, bill. >> i find it interesting that you're looking obviously at opportunities and saying volkswagen could be the buy of the year? >> yes. now, it's still a little early, kelly, but, you know, i'm putting this phrase, the merkel put. in other words, will germany ever let that company fail? i think everyone would say they will never let it fail. however, it's still a little too early. the news is very fluid, and coming out almost hour by hour, right? at some point, there will be a buying opportunity. it's admitted it's made a mistake. this is like a classic contrarian play. the question is, a question of

timing. but when you do time that, if you can time that fairly well, you've got a real tremendous upside on that stock. >> wow. very quickly. what sector do you think could do well in the fourth quarter, if any? >> that's the question. while, you know, i'm a big fan of signer security and as you know, cyber arc has been killed this past quarter. it's almost down 50% from its year high. and also palo alto network. so those two companies are never going to go away, bill. we just have to get a little bit more sanity, ground ourselves. cyber security is growing by the moment. so that is a great play to make next quarter also. >> all right, very good, peter. good to see you. thank you for joining us today. we'll take a break, come back. >> i should mention, i did bring you back the hair net. >> i'm glad. >> you have to wear a beard net too if you're a guy. and the safety glasses as well. >> i just wanted a selfie. >> i tried, but it was complicated. after the bell, congress appears to be avoiding a government shutdown. david stockman says that may not

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when all is said and done, it looks like the dow will be down the most, down 7.5% right now for the quarter. the nasdaq not far behind, down 7.38%. and the s&p down just 6.92% for the quarter. looking at a couple of big trends for the quarter, oil. let's see what it did. down being in this quarter. down 23.5%. we were at about $57 a barrel when we started the quarter out we were at $45 and change. and that's not even the low during that time. ten-year yield. a lot of volatility. when all is said and done, going out near the lows for that time. we started the quarter around 2.4%. we're going out at 2.05%, bob pisani. what a quarter. and the utilities turned out the to be a positive sector.

>> that's joyous. bonds dramatically outperformed the stock market and for q4 now, the question is october is the month of bottoms. that's the tradition. >> so they say. >> so what do we need for a bottom? that's all anybody wants to talk about. when i got back today, my e-mail was fill. more stimulus from china, some people are predicting. making a choice on the fed. dollar is stable. and finally, continued job growth. of the four issues, only one is a very clear trend. the rest of it is kind of up in the air. and then a number of people, we may get a deal on not shutting down the government tonight, hopefully. we have a big potential fight in september. there's a lot of uncertain things floating around out there that makes october a very iffy month still. bottom line is the final day of the quarter, q3 has been down nine out of the last ten years. this is the first up one since 2008. statistics from us here at cnbc.

>> thanks, bob. decent gains to end the quarter. but what about the fourth quarter that begins tomorrow? we'll look at that. we've got the new ceo at twitter. and what is going on in washington with the government shutdown? that's coming up on the second hour of "the closing bell" with kelly evans and company. see you later. >> thank you, bill. welcome to "the closing bell," everybody. i'm kelly evans. huge orders to buy. that's helping. the dow with a performance, adding 229 points to close out the quarter today. the s&p up 35. the nasdaq adding 100, almost on the button there. things are still settling down a little bit. especially in light of the trends that have dominated the quarter. we're going to talk more about what all this means and where we're heading next. we do have mike santoli here,

and carol roth. with more, brian kelly -- it's good to see you. it's been a while. you've been talk about this commodity collapse. it's taken the rest of the market with it largely. so what do you make of today's trading action against that backdr backdrop? >> today we're up 2%. it's the end of month, end of quarter. i wouldn't make anything of this, in particular if it were down 2%, i would say the same thing. it's kind of these in of month, end of quarter shenanigans that go on. bigger picture, though, i still think we have some serious problems. i still think we're looking at some kind of a global recession. certainly a slowdown, if not a recession here in the u.s. and you're starting to see what happened in the commodities space. it's moved to the em space. and now it's starting to come to the developed market. u.s., europe, japan. >> and that means, as you wrote today, the market is riding this line between bull and bear. >> it is. today i think was the bare minimum in terms of what you would look for to say maybe the market is in a little bit firmer position right now.

absorbed a midday pullback. all these ingredients you want to see. the vix closed below 25. we've gone so well. >> and we heard keith telling us about this rally. he mentioned the four horsemen of the major averages saying they all have death crosses. is today the countertrend? do you think the negative move in the markets reasserts itself? >> i think i would be in agreement with b.k. it's the end of the quarter, to make any long-term determinations based on just today, i think they would need to see a multiple day trend coming off of this. i think that as we go into earnings season, that that

potentially is the catalyst for either good news or really not so good news. i think that if we see some strong earnings, potentially in names, maybe some of the mid caps, maybe the names that have more exposure here in the united states instead of abroad, that that could be something that gives the market a little bit of lift here. >> let's talk for a second about who's doing well, who's doing very poorly in this market. we can show you the sectors. utilities had a great quarter. very different story for energy, for materials, even for health care. a lot of that happening in the last three days. those three sectors seeing double digit declines. even more specifically, guys, this is interesting, some of the consumer plays. look at the dow. it's nike up 13%. home depot up almost four. even a mcdonald's, mike. is this going to be the play? you pick the big consumer brand names that continue to do well? >> i think the domestic consumer story has worked. it probably can still be okay. i think the big surprise, and i

think probably the necessary ingredient for some kind of a flush was health care finally succumbing. yes, it was biotech, but it was the whole health care sector. i think you have to have this sense that there is no safe place to sort of wait this stuff out before you get some kind of -- if we're going to get a capitulation, that's what it takes. >> back to the first part of that, i'm a big fan of the branded consumer names. especially as we go into the fourth quarter. i think if you're looking for a place that might have strength, the names that will do well in the holiday season, particularly the ones with the domestic exposure, but also just those marquee brands that are going to be the difference. if a couple is going to trade one way or another, they're going to go with nike, they're going to go with starbucks, in that direction, versus some of the middle of the road brand names. >> backing it out again. you mentioned the global recession and there is something that people have to think through here. the dow turning in a three quarter losing streak for the first time since 2009.

you know, it's hard to dieiest that and think that maybe with the manufacturing pmis coming tomorrow, too, the u.s. one could go below 50. are we missing more of a downturn signal here in terms of the u.s. economic performance? >> that's why i think the g20 markets, the u.s. in particular, are probably more vulnerable than emerging markets, because we haven't priced in something more serious. going into the fourth quarter, we've probably priced in what are going to be bad earnings reports. the bar is pretty low, so i would agree in that sense that you could get some kind of relief rally if things aren't as bad as the markets priced in. but look at chicago pmi today. that was below 50. 48.7. you look at milwaukee. things starting to collapse. milwaukee pmi collapsing. things are starting to slow. and bigger picture, you're seeing this contraption of credit around the world. and real simply, when there's less money to buy things, the things have to go down.

>> brian, if you see a backdrop of global recession, that the u.s. holding up relatively better, how do you trade that? >> the idea of decoupling to me is an absolute myth. you will get some safe haven flows into the u.s. and i think that's what we've seen. but in general, where i'm focusing more of my short positions are stuff like canada. we've talked about how canada is already in recession. the uk, europe, and here in the u.s. as well. so those are the countries and the equity markets that look very vulnerable to me. >> all right. as we mentioned, not just energy, down 18%. crude oil down 24%. ouch. the head of the international monetary fund christine lagarde widely seen as a cool and calm figure amid all this global economic turmoil. today, though, her words did give pause when she talked about troubling times ahead. sarah eisen spoke with lagarde, and she joins us now. >> slower global growth. that was the topic of

conversation. slower than the imf expected this year, that was the word from christine lagarde on the federal reserve. as you know, the imf has been pretty outspoken, urging the fed to hang on, be cautious, because of the potential spillover effects on emerging markets, currencies, and borrowers globally. she told me she doesn't see the case for raising interest rates right now in the u.s., pointing to the data, specifically the low inflation here. she didn't specify an appropriate timeframe for raising rates, but said that when it does come, expect more pain in the emerging world. >> you know, financial terms are going to be different. and those who have borrowed in u.s. dollars, for instance. i mean, to, you know, feel the consequences of that change of interest rates going forward. and there will be increased activity.

i think some of it is already priced in. but there will be some. >> but more pain ahead for emerging markets? >> some more volatility and some more evolution, both in terms of financing conditions as well as exchange rates. >> one area she specifically worried about there is corporate defaults, which she mentioned. now, on china, she was actually a little bit more up beat. lagarde saying what's happening is actually a welcome transition of the chinese economy from exporter to consumer, and that the growth forecast for china this year, the imf had it at 6.8%, would be little change. even in the face of slower global growth. still, lagarde does predict that the chinese change will create a more prolonged slump in commodities prices and will continue to hurt global triade. this does add some pressure on the federal reserve to hold off given the tremendous ripple effects globally. something we'll get to talk a lot more about tomorrow, because we've got the president of the world bank, jim kim. he has also urged the federal reserve to hold off on

increasing interest rates with a keen eye on the problems in the emerging markets world. >> and carol, what would you add to all that? >> what's so amazing to me is how savvy christine lagarde is. she gave janet yellen the perfect cover, because she said that janet yellen needs to be data dependent, but she completely cherry picked the data and focused completely on inflation, and i think that gives janet yellen the cover that she is looking for. i've been in the camp for a very long time that i don't think that the fed is going to raise rates and i think this is a perfect way for her to tie it back into janet yellen's own language. >> i'm not sure i belief that she's looking for that dove on her shoulder to listen to. i do think we'll get an anniversary, the real huge vertical surge in the dollar. so inflation and maybe some of these export effects are going to start to work back in favor of what the fed wants to see and i think we have to wait for it to play out. >> i don't know. i mean, i think that inflation

potentially could happen, potentially could not happen. the environment is very difficult to tell, but i think they've given everything that's going on on the world and the fact that the data is a mixed bag here in the united states. the risk/reward tradeoff for them raising it, even though i would like to see them raise it a long time ago, i think from their perspective, that risk/reward doesn't work. >> what are you seeing in terms of the trend for inflation, which i think yesterday, whenever those numbers came out, is about 1.3%? >> and when you look at forward rates, what the market expects inflation to be five years from now, ten years from now, they're still declining. so we're in a disinflationary if not deinflationary environment. so should the fed have done something a long time ago? sure. but it's like the old joke. if you're an old-timer, how do you get over here? i say i wouldn't start from this

point. well, here we are. what are you going to do? the end game for this is permanent qe. that's what you're going to see. they're starting to hint at it in japan. fiscal spending financed by the central bank. that's the end game here. we'll see that in the next year or two. >> now i think you've gone a bridge too far at the moment. sara, the last word before we close out here. >> the only thing i would add is this is a doomy crowd on the panel. i did press her on this idea that it's just a small hike. it's just 25 basis points. why not just do it and show the world that the u.s. economy is in a strong position? and she said yes, but it's a signal. it would be the first rate hike in nine years. it would be a signal that another one is going to come after it, and the adjustment, which is her word that she uses, to those higher borrowing rates, and the trajectory and the signal that that higher rate sends is so damaging on emerging markets. just one stat for you. $40 billion of outflows from emerging markets this current quarter, according to the institute of international

finance, which tracks it. they haven't seen numbers like that since the depths of the financial crisis in 2008. >> all right, those comparisons, numerous around these days. thank you very much for that interview. there's more to come tomorrow with our sara eisen. brian kelly, thank you, sir, as well. i think. very gloomy. catch more of brian and the "fast money" crew at 5:00 here. twitter reportedly naming jack dorsey as its permanent ceo. we're going to have bob peck. now, we told you so. yesterday, at the closing bell, steve forbes said donald trump wasn't worth $10 billion. now trump is firing back. cnbc's john harwood will get you the details on that. first, though, it's been 30 years since delorean unveiled car doors that opened like a falcon wings. that story is next. you're watching cnbc, first in business worldwide.

my name is rene guerrero. i'm a senior field technician for pg&e here in san jose. pg&e is using new technology to improve our system,

replacing pipelines throughout the city of san jose, to provide safe and reliable services. raising a family here in the city of san jose has been a wonderful experience. my oldest son now works for pg&e. when i do get a chance, an opportunity to work with him, it's always a pleasure. i love my job and i care about the work i do. i know how hard our crews work for our customers. i want them to know that they do have a safe and reliable system. together, we're building a better california. welcome back. tesla's long awaited model x finally being delivered.

phil lebeau joins us with those details. >> last night, elon musk said, i think we might have gotten a little carried away with the model x. the reason he says that is because there are a number of technological features in the suv that are getting a lot of attention. he delivered the first five model xs last night. these are editions that are a little bit special. for the first five customers who get them, the bis price is going to come closer to 80,000 eventually. people have been asking me all day, what happens if you're parked too close to another car? we saw them in action and they work. the big test now for tesla, the delivery and the ramp-up of production of the model x. and when you look at the deliveries of tesla vehicles

over the last four years, it's an impressive ramp-up that we've seen here. an estimated 50,000 vehicles this year, but next year is a big jump. as you take a look at shares of tesla, we're also putting up mobile eye there. the censors and technology are a big part of not only the model x, but also the model s. we've talked about this at length. that is the future of the automotive technology and that's a big part of what we've been hearing about here in the silicon valley the last couple of days. >> thanks to the twitter followers who mentioned these are not gull wing doors, they're falcon wing doors because they bend in two places. >> i think tesla really keeps dazzling us with the product line, as everybody waits, not

just for the 80,000 deliveries in 2016, but the half million we keep hearing about in 2020. to me, it's lots of buzz separating it from the electric vehicle story. it's a tesla story. >> that tells you 80,000 deliveries are already priced in. >> i have a question for phil. of the people in this backlog for this model x, how many of them are repeat customers? do you have any sense of that? one of the things that has really struck me is that tesla has these fanatical buyers that are almost evangelists of the product. so i wonder how many are repeats that are buying another model versus new customers. >> we asked elon musk that question last night, specifically, how many of the x buyers were those who have put in reservations who are either s owners, trading in the s for the x, or s owners who have said i love the s, i want to have the x

as well. he says that there are a number of s owners who are now also putting in orders for an x, but they wouldn't give us a breakdown in terms of numbers. tesla says they believe the x will expand the pod, not cannibalize the business, but actually expand the number of vehicles that they'll be able to sell either to existing customers or new customer. >> i think that's the key to whole thing here. can you get past this chris -- critical mass here. >> if one of the top-selling vehicles, the ford f-150 has a big bump in the road here. what's going on as you know it? >> i think when you look at any of these diesel vehicles in the united states, it's a point where people are going to be questioning the emissions that are involved here, not to suggest that any auto maker outside of volkswagen has been toying around with the

emissions. it's only volkswagen. but we do know that federal regulators have said we are testing all diesel vehicles, and as a result, it doesn't matter what auto maker is out there. if they're making a diesel model, this model then will face greater scrutiny. that's what we're going to see probably the next couple of months until the regulators can say we are certain that the mileage and emissions that have been stated, they are accurate. >> and what about any potential strikes that could also interfere? >> i think it's uaw contract season. the way this works is you not only have a national contract, you also have the local contracts. we're talking about what's happening in kansas city for ford. there is always the possibility that you could see a limited strike perhaps starting this weekend. they have sent the notice to ford saying look, we're not happy that the local contract in kansas city has not been negotiated in their opinion in good faith, and as a result, we could see a strike this weekend.

i'll be interested to see how this plays out. this is not uncommon when we have the uaw contracts come up. >> for sure. an issue many of the automakers are going to be grappling with. that's our phil lebeau in silicon valley with the tesla model x. jack dorsey reportedly staying around as the official ceo of twitter. we'll speak to one of the reporters who broke that story. first, though, no government shutdown? too bad says former reagan budget director david stockman. he'll explain high next. you pay your car insurance

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the house voting right now on a continuing resolution that would avert a government shutdown, but according to our next guest, that might not be the best thing for washington, the country, or the economy. david stockman is the former director at the office of management and budget under president reagan. he joins us here at post nine. welcome to you. >> happy to be here. >> you serious, a shutdown will be good for the economy? >> we're going to have a shutdown sooner or later. we're on the fiscal titanic and we're going to hit something hard and immovable one of these days. we're in month 75 of this so-called recovery. congress has squandered the entire time, done nothing about the long run fiscal outlook. if anything, they've basically been trying to find ways to get out from under the caps they put

on themselves in 211. but no one outlawed the business cycle. there will be another rescission. the average cycle is 60 months. the longest is 100. we're overdue and it may be coming sooner than people think. when it happens, we're back in trillion-dollar deficit land. we're heading towards a doubling of the national debt, which is huge already. and we'll be in an environment in which it will be impossible to cope with it. >> carol? >> here's the thing. any time they stop the government from doing whatever they do is usually a good thing from my perspective. the problem is i see this whole shutdown is political theatre, and not even good theatre. we're talking far off broadway. they never do anything. if they were to shutdown the government and actually enact changes to really make fiscal reform, i would be all for it. but it didn't happen the last time we had a shutdown and i don't see how it happens now going into an election cycle. >> it never really does.

i went through a dozen of them when i was there. today it's a farce. because we have 4.2 million federal employees. 85% of them will go back to work. all the armed forces. anybody having to do with life or property or health or safety or anything else people can imagine. the tsa will keep groping you. the nsa will keep spying on you. the da will keep arresting you. >> but that's the point of this discussion. it's not that we disagree with what's wrong. not that we disagree with what a shutdown really is. but your central premise that we should still somehow do it because that would solve all of these things that we're talking about, then i don't understand. >> because we need an action-forcing deadline. we need to reform the middle class entitlements. they won't touch it with a ten-foot pole. it's ridiculous that they're trying to raise defense above the sequester cap, when a half a trillion dollars is more than enough in this world that we're in today. we do need more revenue. they should be talking about a

consumption tax and they can't even get the words out of their lips. so we have a dysfunctional, non-functioning government waiting for something to hit the wall and everybody unfortunately on wall street says let's not have a government shutdown, keep the game going because we like the bubble we're in. >> but i'm not sure -- >> here's the news flash. we're in a bubble and it's going to break. >> that doesn't change any of the things you're talking about. >> and would actually pose itself as a true deadline. we have record debt levels and 6% of the federal budget goes to pay interest on the debt. it's extremely manageable. >> it's not manageable. michael, it's not manageable. >> what year do we hit it? >> it's not manageable at all, because thanks to yellen and her married band of money printers, we have not paying the true cost of the debt. this year, it's 230 billion on 13 trillion.

that's 1.75%. that's ridiculous. when it normalizes, which it will someday, we'll be paying 400 or 500 billion more at a minimum. >> and that might force the question, perhaps. >> all right, and so i blame the fed. the fed is the number one culprit in this whole fiscal paralysis, because it's told all the politicians, you can kick the can, you can dodge the bullet -- >> it's not just the fed. >> not just the fed. >> all the central banks of the world. >> we have a gop debate coming up. cnbc is going to host it. and the next month, we'll hear a lot more about these issues. thank you for joining us. >> thank you. >> david stockman. worked with reagan. time now for a cnbc news update. what's happening? >> here is what's happening this hour. russia launching its first air strikes in syria today. that move sparking a war of words between moscow and u.s. officials. john kerry and ash carter are

questioning if russia is really targeting isis forces, or instead, ghitting opposition groups of bashar al assad. facebook wants to bring your facebook picture to life. it will up load a seven-second looping video in place of the still picture. it's one of the changes facebook announced today aiming at making profile pages more customized. they hope to roll this out soon. 671 people have now been sickened in a salmonella outbreak linked to cucumbers. that number could continue to rise, even though all the impacted produce has been recalled. over 100 people have been hospitalized since that outbreak began. prince harry spent the day walking with a group of wounded british soldiers to raise awareness about disabled veterans. the group is in the middle of a 1,000-mile trek across britain, and former nfl quarterback dan marino also joined in today's walk.

good for them. that is the cnbc news update this hour. kelly, back to you. >> i think eisenhower once said all americans should be able to walk 50 miles in 24 hours, sue, and had to abandon it after a bunch of people had heart attacks. that is a long distance. >> that is a long distance, but prince harry is very committed to this particular charity and this is not the first time that they've made that trek. he does it every year. >> it's great to see. if anyone can do it, prince harry can. thank you, sue. >> sure. twitter might finally have a permanent ceo. rico reporting jack dorsey will be the company's chief executive. the man who broke that story joins us next.

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introducing... underwhelming internet speeds and temperamental television... in one. welcome to the moment no one's been waiting for. the fastest internet and the best tv experience is already here with x1. only from xfinity. here's a look at how we finished the day on wall street. very different picture than the quarter. the dow today up 1.5%. the s&p up nearly 2%. the nasdaq up 2.3%. twitter having a nice day, too. sources telling rico jack dorsey will be named permanent ceo as early as tomorrow. let's bring in kurt wagner, who co-wrote that story with kara swisher. great to have you with us. has the company confirmed this yet? >> i'm sorry, i'm having a bit of a tough time hearing you yet,

guys, sorry. >> all right, let's give it a second to fix it. we'll come right back to you. as far as we understand, the twitter shares being up 5% reflects the fact that everyone wants jack dorsey to stay? >> this is amazing. usually, if you get a story that comes out that says we'll have a permanent ceo that's not spending 100% of his time on your company, that shareholders would not think that that's a good thing. which leads me to believe that maybe they're positioning themselves to be sold or there's some other signal that investors are glamming on to here. >> i think eventually perhaps, but the stock in the vicinity of 30, i think it might be premature that they would actually capitulate and say it's time to do that. i think after three months, after surveying the other options, the idea that nobody better came along than dorsey, in many investors' minds. >> as a shareholder, do you really want to have a ceo whose dedication is not 100% to increasing the value of your

investments? >> let's ask kurt wagner. if you can hear us now, how about the share reaction, and what is going to be jack dorsey splitting his time between two companies? >> i can hear you now, thanks. and i think that that's going to be the interesting thing, right? is that if you're an investor in twitter in particular, you've got to imagine you want someone who's going to be there full-time, who's going to be tackling the issues that twitter has been facing now for months, which is user growth and retention. so i think that the idea of having someone in charge who's also going to be distracted by an ipo-ready company, there's going to be a road show. that kind of stuff. i would imagine that there's going to be some mixed feelings about this. but the stock was up today, so at least initially people like it. >> chris sacco weighing in as well. what about the company itself? are you expecting them to make an announcement as soon as tomorrow? they haven't confirmed this yet, have they? >> no, the company hasn't confirmed it. we don't know yet whether the board has actually voted on this. we've been talking to people

close to this situation who say they do expect jack to be there. i know that twitter typically will have what they call tea time, an all hands meeting on thursdays. as far as i know, they don't have one scheduled right now for tomorrow. that doesn't necessarily mean this won't happen tomorrow. it certainly could. but the timing here is a little bit in flux. it could be as early as tomorrow. it could also be pushed out a little bit. >> kurt, it's carol roth. in terms of the executive management and the board, do you expect that now that jack is going to be the ceo, that there will be other shake-ups within the ranks of the management and board? >> if i was guessing, i would say yes. i think the last time jack was there in 2011, there were a lot of changes. i certainly think this time around is different. i don't think he's coming in under the same circumstances. that being said, i think that it's inevitable that when he gets there, he's going to want to put his own people and his own system in place. and i don't think that all people are necessarily going to fit under the jack dorsey system, so i would not be at all

surprised to see some top level folks either step down or be pushed out. >> do you have any color on the search, presuming there was a real search for other ceo candidates? was there some resistance for candidates to say hey, the old crew, the founding crew is going to be on the board, i'm not sure i want this job? how did that play out? >> as far as we know, i think that jack and adam bane were really the two serious candidates all along. there certainly were others. i do think in a lot of ways, this was a real search, but i don't think there's a lot of people who can really come in and take over twitter right now. given the issues that they're facing, i think the importance of bringing in someone who's, a, familiar with the company. and a founder, the moral authority to make changes, i think was very important. i'm not at all surprised that it kind of ended up narrowing down to those two with jack being the frontrunner here. >> we'll see if he is the next steve jobs. the example of running two companies at the same time. interesting to see how this

plays out. kurt wagner from rico. thank you for joining us. >> thanks for having me. forbes calling donald trump's own income into question. now trump has his own message for forbes. hear it from the color candidate himself, next. and uber is under fire all across europe. from amsterdam to paris. the ride-sharing company facing major headwinds overseas. we'll bring you up to speed later. we're back in two here on "the closing bell."

donald trump coming in at number 121 in the forbes 400 richest americans list. john harwood did sit down with the gop presidential hopeful to talk about his net worth. it's this week's "speak easy." can't wait to see it, john. >> kelly, "forbes" magazine says that donald trump is worth less than half of the $10 billion he claimed when he started his campaign. donald trump told me they're wrong. take a listen. i read this morning that you're a $4.5 billion man. >> okay, fine. where? >> in "forbes." >> okay. what do you think of their list? >> well, i think their list -- number one, i'm a private company. they don't really know my assets very well. i think that they're very good people. i like the people at "forbes." i don't think they give me any value for brachbnd. when i leave you, i'm signing a branning deal that's a phenomenal, a tremendous, hundreds of millions of dollars in value, all because of my

brand. >> you think they're wrong? >> i have assets that they don't even know i have because i'm private. if they value me at $4.5 billion, and i'm sure they said i'm very liquid because i'm extremely liquid. >> so the ordinary person, a billion dollars is more than anybody needs in their lifetime. but what they indicated was if you spent $100 billion by their assessment, that's almost a third of all of your cash. >> how much? >> $100 million on your campaign. >> well, they're wrong, but i have a lot of cash. i'm not going to tell you exactly what cash i have, but i have hundreds of millions of dollars of cash. >> they said like 800 and their assessment is 325. >> whatever it is. do you agree it's a lot? >> yes, it's a lot. definitely a lot of money. we'll have the rest of the speak easy tomorrow with donald trump. we'll have all of the candidates, including donald trump on the stage on october 28th at our cnbc debate.

we look forward to that. we're going to have a great time. >> we're going to get more reaction now with cnbc contributor barney frank. welcome to you. sir, i hope you just heard that exchange. i'm wondering what you make of it. >> well, it's more from donald trump, where he's evasive. it's a lot of money, but as some people pointed out, he inherited a pretty good chunk of money, and it's a valid question as to how much more he now has than anybody else would have had who inherited that much money that many years ago, and invested in a pretty plain vanilla fashion. >> you think donald trump has done nothing more than in his career other than maybe keep pace with what the real value of his inheritance would be anyway? >> no, i didn't say that. i said that's why it's a question.

if he could disprove them, he would. he said i'm a private company, i'm not going to tell you. there's a little inconsistency there. he boasts a lot about his money-making capacity, his wealth. he cites that as one of the reasons he would be a good president. having said all that, it's odd that he retreats to privacy when he's asked to specify. >> carol roth, do you think it's odd? >> i do. some point after $4 billion, that every incremental billion doesn't matter that much. let's be honest. he's spending his own money and he's not even having to spend very much money, because he is so savvy at utilizing the media, that he probably is i would say far ahead of his budget. so he's probably not even going to need to spend the $100 billion that somebody else in his position might need, because of his business savvy. i think that says a lot. >> donald trump said exactly that. he said i'm under budget and ahead of schedule, just like all

my projects. but i'd like to ask the congressman, because he's been playing at the big leagues of politics for a long time. what's your evaluation of donald trump's political skills that he showed so far in the campaign? >> i think he is very skillful at getting out front in this kind of a situation. i think he is very unskillful if what you were trying to do is get elected president of the united states. donald trump is ahead in a split field. by the way, in terms of money, you're right. he doesn't need it now. but when he gets to a point first in the primary, and if it ever happened in november, which i have no reason to think it will happen, but when it gets down to a one-on-one, and criticism of him is more focused and there's a choice between him and one, maybe two others, at that point, having 28% or 30% is not a good thing. and i think he is being promiscuous with his credibility by saying a lot of things that

when it narrows down to a choice one-on-one, he's going to have a hard time defending himself. >> a last word, carol? >> the thing that you have to understand is that donald trump is unlike any other candidate. he can do and say things that other people can't. the reason so many people want to vote for donald trump is because he stands for something different. >> i have to respond to that. >> he is the face of a new quiet revolution, and for the people who are supporting him, it really doesn't matter what he says or if it's 4.5 billion or 10 billion, they are still going to support him. >> i really need to respond to that, because it fundamentally mistakes my position. i agree with that, although saying that anything is quiet about donald trump seems to me to be a little wrong. but the point is yes, he's been very successful in making himself the most popular in a split field. that is a long way from oning a one-on-one concept, much less the credibility to have the

election. i agree he's very skillful at projecting himself thus far. that does not translate even to winning the nomination, and certainly not to winning the election when a tougher set of standards are going to apply. >> we'll see. congressman barney frank, thank you for joining us this afternoon. john harwood, great stuff. there's much more you can catch of john's speak easy interview with donald trump. don't forget to watch the debate wednesday, october 28th. as we just announced, carl quintanilla, becky quick, and john harwood will all be moderating. rick santelli, jim cramer will also be asking questions. joe josh lipton, what's happening? >> kelly, these headlines just crossing from dow jones. dow jones is reporting that microsoft and google have agreed to dismiss all pending patent infringement lawsuits. those tech giants have been litigating about 20 patent infringement cases. dow jones reporting that microsoft and google have now

agreed to collaborate on certain patent matters, though not disclosing terms of those patent agreements right now. those stocks not budging too much on the news, but we'll keep an eye on that story. back to you. >> mutual disarmament. thank you, josh. from office raids to court cases, uber has hit some rough spots if europe, just this week. up next, what the company's legal troubles could mean for both riders and drivers. you're watching cnbc, first in business worldwide.

welcome back. uber's headaches across europe aren't going away any time soon. kate has more on what is happening. what can you tell us. >> the trial against two uber senior executives in france was postponed at a hearing today until february. they face charges of misleading practice and illegal taxi profession. and this stems from the uber pop which is the low hist cost services that uses drivers without professional licenses. that led to protest in the streets of paris over the summer. the executives could face fines and potential jail. they are no longer operational there. but the other services with

licensed professional drivers continues to operate in france. now on to amsterdam where the offices were raided on tuesday as part of an on going criminal investigation. in a statement, uber said it would, quote, will of course continue to cooperate with the dutch authorities into ube i pop and naturally we dispute the allegations as the legal status of uber pop and the law is under review. and finally they are facing tougher regulations in london. a new regulation would force drivers to only work for one company and increase licensing and add a mandatory five minute wait time. there is a petition launched against the rules that did help fight back regulations in new york and at last check had over 101,000 signatures so far. kate. back to you. >> how many of the grievances against uber have been brought by actual users of the service?

>> as to that, kelly, i'm not sure. it is local and state governments trying to come in and regulate this but over and over we see uber say it is just a tech noolg platform and government says you are not and we're going to regulate you the same way we do our professional services. >> i have more news to get to. kate, thank you. the booming healthcare business has effected another industry. shipping. up next, we head to a new logistics facility on how it is dealing with growing demand. and later nasdaq is in a death cross but that could be a good thing for stocks. we'll explain. good. very good. you see something moving off the shelves and your first thought is to investigate the company. you are type e*. yes, investment opportunities can be anywhere... or not. but you know the difference. e*trade's bar code scanner. shorten the distance between intuition and action.

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welcome back. the house of representatives has now secured enough votes to pass a short-term spending measure that will keep the u.s. government open until december 11th, as of just now, the votes are 277 in favor, 149 against. the party line breakdown here is 91 republicans end up voting for this bipartisan measure. 186 democrats also voting for it. 149 republicans, though, voting against this continuing resolution. so kelly, that means that despite the business an tine

wrangling at the end, the house of representatives was able to come together and kick the can down the road to december 11th. so restart your countdown clocks for a government shutdown in december. but today the government will stay open at the midnight deadline tonight. >> thank you for that very much. and i'm looking at when the fed's december meeting is the 15th to the 16th so that is interesting. and health care is booming and shipping companies are trying to keep up with the industry's very specific demands. morgan brennan has a look at the demands and joins us from the ups new hub in new jersey with the details. hi to you, morgan. >> hey, kelly. how are you doing? so take a look at this. this is the arsenal kit for spinal surgeries and has equipment like this. and these kits and other valuable medical devices moving through the facility. it is a push by ups into a booming business and that is health care logistics.

they don't break down the performance of the segment but does say it is one of the fastest growing. this is a $70 billion market and growing and they have constructed 20 new health care facilities in just the past two years. >> a lot of ups' business is cyclical and driven by retail. health care industry by contrast is fairly stable. it is not cyclical and provides decent returns to the organization throughout the year. >> now unlike e-commerce, shipping, drugs, medical devices and human materials like stool and blood samples requires a high-tech, high-security network and one that has to be both time and temperature sensitive. in the case of ups, at the page health care hub in louisville, kentucky, that means cold storage and sub zero refrigerators and pharmaceuticals and regulators and high security vaults filled with opioids and other controlled substances. and other companies are getting

into the business as well. dhl and fedex have made significant investments in health care over the last couple of years. but in terms of this facility, talking about kits like alpha tex, these kits come in and are delivered from hospitals in the morning and go through an inventory and replenishment and then the kits get shipped back out and used in surgeries again as soon as friday morning. kelly. >> wow, kelly. >> is it the special handling or the on-demand needs driving this market? >> briefly. >> yeah, it is a little bit of both. so because there is a lot of care and security, you have these cold machines that are involved in shipping this around the globe. there is a lot of logistics involved and this is a 24-hour operation because you need to be on demand to get the kits out when surgeries come up. morgan, thank you.

great stuff. "fast money" coming up. thanks to mike and carol for a rowdy show this afternoon. melissa lee what is on top. >> ralph lauren got a big pop on news of the ceo stepping down. so what other stocks could drop down. the traders are handing out their pink slips. "fast money" starts right now. i'm melissa lee. the traders are pete najarian, david, dan and guy adami. a good thing for tech stocks and we'll explain. and twitter close to making jack dorsey kae but the board that is in need of change. bob tech will be here to name nam names. and the top story, the third quarter in the books. a rough quarter as the major indices all rally. down 7%. the question tonight is simple. what are you doing for the fourth quarter. guy adami,